China's central bank cut interest rates for deposits and loans by a quarter of a percentage point on June 8.

It was the first time that the People's Bank of China cut the benchmark rates since December 2008, after which it raised the rates five times to drain liquidity.

After the cut, the one-year deposit interest rate fell to 3.25 percent while that of the oneyear loan interest rate was lowered to 6.31 percent.

The upper limit of the floating band of deposit rates will be adjusted to 1.1 times the benchmark level while banks are allowed to offer 20-percent discount to borrowers.

The latest move came as China's slowerthan- expected economic growth had raised concerns over an abrupt brake for the world's second largest economy.

China's GDP growth slowed to a nearly three-year low of 8.1 percent in the first quarter as key economic indicators for April continue to suggest downward risks.